Wednesday June 6, 2018

Sellerís market prevails in Oswego County, CNY

Housing inventory shortage results in hiked prices
By Lou Sorendo

    Corinne Komarnicki

    It’s a seller’s real estate market in Oswego County and Central New York. The reason is simple: New listings and homes for sale are both down.

    The number of homes for sale in Oswego County dropped by more than 21 percent from April 2017 to April 2018, according to the latest data from the New York State Association of REALTORS. In addition, the number of new listings dropped by nearly 20 percent during the same time frame. Months’ supply also dropped by nearly 21 percent.

    Anthony Ciappa and Corinne Komarnicki, licensed real estate agents with New Heights Home Team, an affiliate of Hunt Real Estate in Cicero, said the trend toward a housing inventory shortage is not only a local issue but a national one as well.

    Corinne Komarnicki, who also serves as director of operations, said because of the housing inventory shortage, housing costs are increasing.

    The median sales price of a home in Oswego County at the close of the first quarter of this year was $87,450, a 2.3 percent increase compared to the first quarter of 2017.

    Komarnicki said multiple-offer situations are common in the region, and houses are going for above asking price.

    “If you have a nice home and are in a desirable area, chances are for the buyers out there, there is going to be some competition for it,” she said. “Right now, we definitely have people who want to buy. There’s just not a whole lot of options out there for them.”

    Komarnicki said a key reason for the shortage is people are deciding to live in their homes longer than they ever have before.

    “People are thinking about purchasing a property and living in it longer than ever before. Prior to that, people bought a house and planned to live in it for a couple of years, sell it, and get another house. We’re seeing that as a trend. There’s not so much of that desire to want to go ahead and upgrade quickly or move again,” she said.

    Ciappa noted another result of the inventory shortage is sellers are hesitant to put their house on the market in fear that it will sell fast and “they will have nowhere to go because prices are inflated.”

    Ciappa characterized it as a seller’s market. “We run into bidding wars above the asking price, which is an indication of a seller’s market,” he said.

    The agents said mortgage reps have reported that interest rates are going to continue to climb throughout the rest of 2018.

    “If you are going to get a mortgage, now is probably better than later,” she noted.

    “We’re super busy and ramping up right now,” Ciappa said. “Now is the time when people are just starting to get out. We nurture some leads through the winter and right about now is when people want to get out and start looking and pulling the trigger.”

    William Galloway, broker/owner of Century 21 Galloway Realty in Oswego, said real estate activity is a true reflection of the overall economy in a given area and the country as a whole.

    “Investors are pulling from the stock market and investing in real estate again, which is a more stable investment at this time,” he added.

    However, the market locally and across the nation is lacking in listings, and homes that are priced at market value are selling immediately, Galloway noted.

    “This is happening all across the country,” he said. “As I have been attending conferences all across the country, brokers from different areas have all had the same issue — a lack of listings, Galloway said.

    “We have been very active in sales this year and are hoping more sellers put their homes on the market for sale at this time because of a lack of listings,” he said.